An Important Characteristic of a Dominant Strategy Is That

question 36

Multiple Choice

An important characteristic of a dominant strategy is that:

• A)it is the best strategy only in prisoner's dilemma
• B)it always leads to a Nash equilibrium that makes all players equally well off
• C)it can prevent the game reaching a Nash equilibrium
• D)it is the best strategy for a player, regardless of whatever strategy the opponent chooses

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Definitions:

Cash

A company's currency or currency equivalents that can be accessed immediately or at short notice.

Expenses

Costs incurred in the process of generating revenue, typically categorized into operating and non-operating expenses.

Revenues

The total amount of money received or accrued by a business from its normal business operations.

Net Loss

A situation where total expenses exceed total revenues in a specific period, indicating a reduction in equity.